Flickr CC via Steve Rhoades |
The Democratic Party
has publically
asked fast food companies to increase their wages, citing the struggle of
the middle class and economic recovery as reason to hire more people. Fifty-three members of congress signed a
public letter addressed to McDonald’s CEO Don Thompson and other restaurant
executives last week.
The letter is a response
to rounds of protests this year from minimum wage workers that claim they do
not make enough money to pay their bills and support their families. The letter says that families cannot continue
to life on “poverty-level wages”.
Strikes that began in
New York over the summer are spreading to over 100 cities in the country,
asking not only McDonald’s but other large fast food chains such as Bruger
King, Pizza Hut, Taco Bell and Wendy’s, who also received the letter from
congress.
Flickr CC via Steve Rhoades |
People worry that
increased wages would result in higher food prices. Analysts estimated earlier this year that a one-dollar
increase in a Big Mac sandwich from McDonald’s would pay for the increase
in wages. McDonald’s so far has defended
their wages, claiming they are “above minimum wage” and fair for entry-level
work. The company also has suggested menu prices would increase with higher
labor costs. Further complicating the
issue is that McDonald’s is a franchise business, meaning wages are set by
individual owners.
The average fast
food worker earns about $9 per hour, which is less than $20,000 a year. There is currently a bill in congress backed
by the president that would increase minimum wage to $10.10. Protestors for higher wages are asking for
$15 per hour.
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